Pacific trade ministers aim to seal TPP trade pact

Update:
September, 30/2015 - 11:29

|

WASHINGTON — Top trade representatives of 12Pacific Rim countries began two days of talks in Atlanta on Wednesday hoping tofinalise the ambitious Trans-Pacific Partnership Agreement after Julynegotiations in Hawaii failed.

The United States is pushing hard for the 12-country deal to create theworld's largest free trade region, hoping to lock in rules that global tradegiant China would eventually have to heed.

A handful of issues bogged down the talks in Hawaii, including how the UStreats imports of Japanese auto parts, the length of patent protections forincreasingly important biologic drugs, and open markets for dairy products frommajor producers such as New Zealand.

Joshua Melzer, a trade expert at the Brookings Institution and a formerAustralian trade negotiator, said there was still work to do but an agreementwas in sight.

"I think the prospects are good for the deal to be done this week," he said.

But nothing was certain, with vocal public groups raising objections to anumber of issues under discussion and, more generally, to the secrecy of thetalks.

In Ottawa on Tuesday, tractor-driving dairy farmers with a handful of cowsblocked roads to Canada's parliament to protest the possible opening up of thecountry's milk market to imports under the TPP.

Dairy Farmers of Canada president Wally Smith said the pact is "endangeringthe stability and viability of our industry."

'90 per cent agreed'

The meeting of the trade ministers from the 12 TPP countries – Australia,Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore,the United States and Viet Nam – will follow four days of detailed discussionsbetween their negotiators in the southern US city.

A deal would lower trade and investment barriers and strengthenintellectual property protections in countries comprising about 40 per cent ofthe global economy.

According to a study by the Peterson Institute for International Economicsin Washington, the stimulus from the TPP pact could add $295 billion in annualglobal income after the 10-year implementation period.

The negotiations have left out China, which Washington sees as notcommitted to free trade and which has taken steps to organise its ownAsia-region trade grouping.

TPP negotiators are aiming to present a final, unalterable agreement forratification to the governments, an approach that has angered legislators andcivil society groups in a number of the countries, especially the United States.

Critics say what they know of the discussions favours the needs of industrygroups by giving more protection on drug patents; establishing an extra-legalinvestor-state dispute settlement regime; and does little to assure enforcementof environmental and labour standards.

"Despite the unprecedented secrecy surrounding the TPP negotiations, leaksof TPP documents are fuelling opposition in many TPP countries," said theWashington activist group Public Citizen.

Canberra's Trade Minister Andrew Robb told the Australian Financial Reviewthat 90 per cent of the issues had been settled going into this week'sdiscussions.

"There are unresolved issues, but hopefully these aren't intractable," hesaid. "A conclusion remains within imminent reach."Melzer said that even if a deal is reached this week, it will be monthsbefore it goes to government's for ratification. — AFP